India Expects $6.5 billion to be Invested in Renewable Energy

NEW DELHI -- India expects investments of 300 billion rupees ($6.5 billion) in renewable energy projects in the current financial year, the minister for renewable energy said Friday.

India plans to add 3,400 megawatt grid-linked and 130 MW off-grid generation capacity based on renewable energy sources in the financial year through March, Farooq Abdullah informed lawmakers in the lower house of parliament.

It would require 290 billion rupees to set up capacities based on wind and solar energy and small hydroelectric projects, Abdullah said. Another 10 billion rupees is expected in energy systems like biogas plants and solar water-heating systems in remote villages, he added.

The government offers financial incentives and preferential tariff for grid and off-grid systems to encourage investments in the sector, he said.